Brewdog's co-founder and chief executive James Watt has revealed he is to step down from the top job after 17 years.

He wrote on a LinkedIn post that he was to retain his 21% stake in the brewer and pub firm and become "captain and co-founder" - a newly created non-executive board role that would see him continue to offer oversight and advice. James Arrow, Brewdog's chief operating officer, will succeed him.

Mr Watt announced the decision just weeks after the TUC branded him "the worst employer of the month". The union organisation said it reflected Brewdog's decision this year to no longer hire new staff on the "real" living wage, instead paying the lower legal minimum wage.

Mr Watt attracted similar criticism in 2021 after a group of former workers called out a "culture of fear" within the business, with "toxic attitudes" towards junior staff. Mr Watt apologised saying it was "100% my fault.